Pelsart Resources to start South Kalimantan gold exploration
Thursday, May 10 2001 - 04:30 AM WIB
After several delays, Pelsart Resources Group finally announced on Wednesday that it would soon start its gold exploration activity in South Kalimantan, the local Banjarmasin Post daily reported.
The paper quoted Pelsart president Rudolf Kasenda as saying that in the first stage the exploration activity would cover 37,763 Ha mining site located in Kotabaru area, Banjar, and Tapin.
Rudolf was speaking in a presentation about the company's exploration plan in Banjarmasin.
Pelsart has formed a joint venture called PT Meratus Sumber Mas with Canada-based Placer Dome to mine the area. But the paper did not say the share split in the joint venture.
Pelsart also has a license to mine another 239,500 Ha in the Kusan area with substantial gold reserves potential. Pelsart has formed a company called PT Pelsart Tambang Kencana to mine the area. It is not clear, however, whether Placer Dome also owns stake in this company.
Pelsart said that it had delayed several times its gold exploration plans due to various problems including rampant illegal gold mining, security problem, lower commodity price in the world market.
Rudolf expected that the full gold mining operation in Meratus and Kusan areas could be started by 2005.(*)